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Marcellus Drilling News
  • Broome County | Hydraulic Fracturing | Industrywide Issues | Litigation | New York | Regulation

    Expert Says Binghamton Fracking Ban is “Legally Dubious”

    January 24, 2012January 24, 2012

    Robert Alt, a Fellow in Legal and International Affairs at The John M. Ashbrook Center for Public Affairs at Ashland University (Ohio) has written an op-ed article in the Binghamton Press & Sun-Bulletin on the topic of “legally dubious” moratoriums like the one recently passed by the City of Binghamton. Given that according to forthcoming new drilling regulations from the state Department of Environmental Conservation there would be no drilling in Binghamton anyway, Alt asks the question, just what “message” did City Council send?

    Read More “Expert Says Binghamton Fracking Ban is “Legally Dubious””

  • Chesapeake Energy | Commodity Price | Energy Companies | Industrywide Issues

    NG Prices React to Chesapeake’s Announcement to Cut Production

    January 24, 2012January 24, 2012

    Yesterday, MDN told you about Chesapeake Energy’s major announcement that they will reduce capital spending on dry natural gas, or methane-only production, by 70 percent this year (see this MDN story). Chesapeake is also shutting down 9 percent of their domestic production, some 0.5 billion cubic feet of natural gas per day, which represents 1.5 percent of the entire natural gas output in the U.S. The result is predictable—less supply and steady demand equals higher prices. And that’s just what happened:

    Read More “NG Prices React to Chesapeake’s Announcement to Cut Production”

  • Energy Companies | Stone Energy

    Stone Energy to Double Marcellus Gas Production in 2012

    January 24, 2012January 24, 2012

    Stone Energy Corporation yesterday announced its planned capital budget spending plan for 2012. Stone’s projected capital budget is $625 million for the year, of which it plans to spend 30 percent (or $187.5 million) on drilling in the Marcellus Shale.

    Read More “Stone Energy to Double Marcellus Gas Production in 2012”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Tue, Jan 24, 2012

    January 24, 2012January 24, 2012

    The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:

    Read More “Marcellus & Utica Shale Story Links: Tue, Jan 24, 2012”

  • Chesapeake Energy | Energy Companies

    Major Chesapeake Announcement: Shifting from Dry to Wet Gas

    January 23, 2012January 23, 2012

    stop pressChesapeake Energy today made a major announcement about a change in their investment and drilling strategy for 2012: they will reduce drilling in “dry” natural gas areas by 50 percent for 2012—to 24 rigs by the end of June from the currently operated 47 rigs. Chesapeake operated 75 dry gas rigs in 2011, so the new level is a 67 percent reduction from last year. Chesapeake will also spend some 70 percent less of their capital budget on dry gas drilling in 2012, down to $0.9 billion (from $3.1 billion in 2011). It’s the lowest capital expenditure they’ve made on drilling in dry gas areas since 2005.

    By the end of June, Chesapeake says they will be operating only 12 rigs in the dry gas areas of the Marcellus Shale.

    Read More “Major Chesapeake Announcement: Shifting from Dry to Wet Gas”

  • Accidents | Coterra Energy (Cabot O&G) | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Susquehanna County

    EPA Starts Water Deliveries in Dimock, PA

    January 23, 2012January 23, 2012

    The federal Environmental Protection Agency (EPA) is getting itself involved in the ongoing situation in Dimock, PA by delivering water to four households that were affected by methane migration (see MDN’s recent Weekly Update for our view on EPA sticking its nose in). After the EPA told these same families two months ago their water was safe, they reversed course and now say they want to run some water tests themselves, and in the meantime they’ll deliver water to four of eleven families who have refused the Pennsylvania DEP’s settlement of the matter.

    The EPA promised water to these same families a few weeks ago and reneged within 24 hours. This time they kept their promise.

    Read More “EPA Starts Water Deliveries in Dimock, PA”

  • Hydraulic Fracturing | Industrywide Issues | Meetings | Regulation

    Five States Require Drillers to Use FracFocus.org Registry

    January 23, 2012January 23, 2012

    FracFocus.org, the national hydraulic fracturing chemical registry where the public can look up information about the chemicals used in hydraulic fracturing on a well-by-well basis, is co-sponsoring a “Let’s Talk About It” meeting in Williamsport, PA this Wednesday (see this page for more details). The meeting runs from 5-7:30 pm and will provide details on how hydraulic fracturing works. Note: FracFocus.org via Energy in Depth is currently a sponsor advertising on MDN.

    Many drilling companies voluntarily use FracFocus.org to disclose the volumes of chemicals and water they use in the process of fracking, and do so for each well they drill. Four states already require drillers within their borders to use FracFocus.org. You can now add Texas as the fifth state to that list.

    Read More “Five States Require Drillers to Use FracFocus.org Registry”

  • Education | Industrywide Issues | Jobs

    Some Grad Students Make $120K per Year in Shale Gas Industry

    January 23, 2012January 23, 2012

    Heading to grad school and want to make $120K a year when you graduate? You might consider an advanced degree in geology or geophysics and working in the shale gas industry.

    Read More “Some Grad Students Make $120K per Year in Shale Gas Industry”

  • Baker Hughes | Economic Impact | Frac Tech | Halliburton | Hydraulic Fracturing | Industrywide Issues | Schlumberger

    Record-Breaking 19K New Wells to be Fracked in 2012

    January 23, 2012January 23, 2012

    Hydraulic fracturing, the process used to break apart shale rock deep below the earth’s surface to allow natural gas and oil to flow, will increase in 2012 some 19 percent from last year according to Spears & Associates, a research and consulting company for the worldwide petroleum industry. Almost 19,000 new wells will be fracked in 2012, compared with 16,000 in 2011. Halliburton is the largest U.S. fracking services provider with 18 percent of the market.

    Read More “Record-Breaking 19K New Wells to be Fracked in 2012”

  • Economic Impact | Industrywide Issues | Ohio | Pipelines | Washington County (OH)

    Mini-Economic Boom from Pipeline Workers in Marietta, OH

    January 23, 2012January 23, 2012

    Local pipeline work in the Marietta (Washington County), Ohio area has brought an influx of pipeline workers from out of town. Along with those workers has come a mini-economic boom for Marietta with money being spent at local RV parks, grocery stories, restaurants and other area businesses.

    Read More “Mini-Economic Boom from Pipeline Workers in Marietta, OH”

  • Industrywide Issues | Luzerne County | NG Vehicles | Pennsylvania

    PA Town Buys NG-Powered Recycling Truck, Will Save $8K/Year

    January 23, 2012January 23, 2012

    Plains Township, located near Wilkes-Barre in Luzerne County, PA, has just become the first municipality in northeastern PA to purchase a recycling truck powered by Marcellus Shale natural gas. Plains has also installed a new natural gas filling station at the town garage.

    Is there a natural gas-powered vehicle in your town’s future? With natural gas at $1.50 per gallon vs. diesel fuel at $4 per gallon, just maybe.

    Read More “PA Town Buys NG-Powered Recycling Truck, Will Save $8K/Year”

  • Best of the Rest

    Marcellus & Utica Shale Story Links: Mon, Jan 23, 2012

    January 23, 2012January 23, 2012

    The “best of the rest” – stories that caught MDN’s eye that you may be interested in reading:

    Read More “Marcellus & Utica Shale Story Links: Mon, Jan 23, 2012”

  • About MDN | MDN Weekly Update

    MDN Weekly Update – Jan 22, 2012: Should the EPA Butt Out of Dimock?

    January 22, 2012January 22, 2012

    poll resultsLast week’s MDN poll asked when you believe shale gas drilling will begin in New York State. An interesting result, with 65% who believe it will begin either this year or next year, but 35% who believe it will never happen. 

    When do you think Marcellus Shale drilling in New York State will begin?

    2012 (30%, 78 Votes)
    2013 (35%, 89 Votes)
    Never (35%, 89 Votes)

    Total Voters: 256

    This Week’s Poll: Does the EPA have a role in investigating the Dimock, PA water contamination case?

    Begin rant.

    MDN has written numerous times about the federal Environmental Protection Agency’s (EPA) propensity to stick it’s nose into affairs properly handled by the individual states. Specifically, the EPA wants to regulate oil and gas drilling nationwide, a responsibility that constitutionally belongs to states, not the federal government. But the EPA is not content to leave it alone, so they are looking for ways to insert themselves into the drilling debate by latching onto any excuse.

    The latest excuse is Dimock, Pennsylvania. In brief, Cabot Oil & Gas was found by the Pennsylvania DEP to have caused (or made worse) methane migration into the water wells for 19 families in the Dimock area, and ordered to provide water deliveries to those households, install methane mitigation systems, and pay homeowners twice the value of their homes. Eight of the families accepted that settlement, but 11 families have said a) their water is contaminated with more than just methane, they say it also contains chemicals from fracking, and b) they want a LOT more money. It’s payday honey! Let’s soak the drilling company. So those families have refused the settlement, but want Cabot to keep delivering water for as long as it takes to sue them into eternity.

    The PA DEP said “enough” and told Cabot they can suspect water deliveries (that have now gone on for years) to those households that refuse the more-than-fair settlement. Cabot did stop the deliveries at the end of November, and the media went into overdrive covering the story of how that nasty Cabot pulled the rug out from under those poor, helpless families that can’t even get a cup o’ water.

    Enter the EPA. They have now wedged their fat derrière at the table and have demanded to be part of the “ongoing” investigation. At first they told the families, “the data looks good to us, there is no problem.” Then they said, “wait, there’s missing data in them thar files.” They promised to restart deliveries of water themselves, then welched on the promise within 24 hours. Then said they changed their minds again and would start deliveries of water for four of the families. Whew. Can anyone say “flaky”?

    Where we stand now: The EPA is going to conduct their own tests of water wells in Dimock, and in the meantime is supposed to have restarted water deliveries to four families.

    The monstrosity that is the EPA was created in 1970 by then-President Richard Nixon. Rue the day. It was created for a noble purpose, “To protect human health and the environment.” The problem is, like with all government agencies, it tends to overstep its bounds. Just because they can throw their considerable weight around, doesn’t mean they should. And it certainly doesn’t mean they can just grab power that constitutionally belongs to the states. But that’s just what they are trying to do.

    End rant.

    This week’s poll asks, should the EPA investigate the Dimock water contamination case? Register your vote on the right side of any page.

    Below are the most recent “top 5” lists and the calendar of Marcellus-related events for the next two weeks.

    Happy reading,
    Jim Willis, Editor

    P.S. MDN is working on a new permits report that will be published soon (in February). Keep watching MDN for details in the coming weeks. This new report is better than the last by orders of magnitude!

    Read More “MDN Weekly Update – Jan 22, 2012: Should the EPA Butt Out of Dimock?”

  • Accidents | Coterra Energy (Cabot O&G) | Energy Companies | Hydraulic Fracturing | Industrywide Issues | Pennsylvania | Susquehanna County

    EPA to Start Water Deliveries in Dimock, PA – Pinky Swear

    January 20, 2012January 20, 2012

    pinky swearThe flakey federal Environmental Protection Agency (EPA) continues its interference in Dimock, PA. Yesterday they announced (once again) they would start water deliveries to homes in the Dimock area—this time the commitment is to four homes. Recall that they made the same promise two weeks ago, then rescinded their promise within 24 hours (see this MDN story for their broken promise and a Dimock backgrounder). This time they’re going to do it, pinky swear promise. That is…unless they decide not to do it.

    PA Department of Environmental Protection Secretary Michael Krancer has warned the EPA to not try and pull a “Pavillion” in Dimock, referring to the sloppy research the EPA has done in Pavillion, Wyoming and their cheeky attempt to try and tie fracking to groundwater contamination, even though the drilling in Pavillion is not shale drilling (see this MDN story).

    Read More “EPA to Start Water Deliveries in Dimock, PA – Pinky Swear”

  • Caiman Energy | Economic Impact | Energy Services | Industrywide Issues | Marshall County | Processing Plants | West Virginia

    Caiman Energy Investing $1.3B in Midstream Facilities in WV

    January 20, 2012January 20, 2012

    Caiman Energy plans to bring its total investment in natural gas processing (“midstream”) facilities in Marshall County, WV to $1.3 billion by the end of 2014. At midstream processing plants like the ones operated by Caiman, raw natural gas is processed to separate out methane from other components like ethane, propane, butane and pentane, or “natural gas liquids.” The liquids are sent to another facility for fractionation, to separate them from one another. Ethane then goes to a cracker plant where it is “cracked” or transformed into ethylene, used for making plastics.

    Caiman is expanding its current processing facilities and building a new fractionation facility in Marshall County and spending nearly as much on their projects ($1.3 billion) as the much anticipated cracker plant that will be built by Shell somewhere in the Marcellus Shale region ($1.5-$2.0 billion).

    Read More “Caiman Energy Investing $1.3B in Midstream Facilities in WV”

  • Hydraulic Fracturing | Industrywide Issues | New York | Regulation | Statewide NY

    NY Landowner Coalitions Push Back Against Home Rule Bill

    January 20, 2012January 20, 2012

    The fight to allow safe natural gas drilling to commence in New York State is being fought on multiple fronts. One of the most prominent groups standing up for landowner rights in New York is the Joint Landowners Coalition of New York (JLCNY). The group is in essence a “coalition of coalitions,” representing 38 landowner coalitions with an aggregate 800,000 acres of land in the Marcellus Shale.

    The JLCNY issued the email below, outlining their opposition to yet another attack on drilling in the state—new legislation proposed by State Senator James Seward (Republican) that would tie up drilling in the state by allowing local municipalities to ban and regulate drilling within their borders.

    Read More “NY Landowner Coalitions Push Back Against Home Rule Bill”

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